Now is the time to review your business’ position and risk tolerance so that you can get a clear-headed picture of today and determine what steps to take to achieve success in the future.
Our assessment can help you discover where your business is and help unlock your thinking about where you want it to be. Once you’re done, tally up your results and check to see which category you fall under.
1. How are your profit margins trending?
A. Increasing
B. Holding steady
C. Decreasing
D. We’re seeing losses right now
2. Do you have adequate cash flow to cover your operating expenses for the next six months?
A. Yes, we have ample cash flow
B. Yes, but we worry about the longer term
C. Cash flow is decreasing, but are still profitable
D. Cash flow is decreasing and we’re seeing losses
3. How have higher interest rates impacted your lending arrangements?
A. No impact
B. Minimal impact
C. Moderate impact
D. Significant impact
4. What are your current growth plans?
A. We’re looking to grow
B. We aren’t actively looking to expand, but may be interested if the right opportunity arises
C. We’re not planning any significant expansions, acquisitions or investments at present
D. Current conditions have significantly affected our ability to operate and we are operating in the red
5. Do you have the right talent to meet current needs and deliver against future objectives and challenges?
A. Yes
B. No, and we have a plan in place
C. No, and we don’t have a plan in place
D. Unsure
6. Do you have a plan in place to manage organizational risks, such as fraud, cyber or financial risks?
A. Yes, we have a comprehensive risk management plan
B. Yes, but the plan could use a refresh now that conditions have changed
C. No, but we’re in the process of developing a plan
D. No
7. How optimistic are you that your business is prepared to meet current challenges and take advantage of future opportunities?
A. Optimistic
B. Neutral
C. Not optimistic
D. Unsure
Your business likely has strong financials, cash on hand, strategic vision and, the right team to drive your business forward. Overall, this may put you in a position to take advantage of current conditions to enhance your competitive advantage. While not immune to the impacts of volatility, businesses in the fast lane could have a greater appetite to take on high-risk, high-reward opportunities.
Start preparing for your next big move with insights from Grant Thornton:
Your financials are good, and you may have cash on hand, but don't want to make any big changes until the economic climate settles. Your preference is to proceed cautiously so you can be sure about your next move. Although your risk appetite may be low, that doesn’t mean you’re not willing to make moves that will make your business more resilient to consolidate your position in the market.
Figure out what your next step can be with insights from Grant Thornton:
You might know you need to adapt to change but haven't yet figured out exactly how you’re going to do it. You have many options, each of which have their own pros and cons. There are many dangers for businesses at a crossroad—from failing to anticipate evolving customer needs to losing a competitive edge—but the greatest danger is not understanding that the status quo may not be sustainable.
Figure out what paths are open to you with insights from Grant Thornton:
You're feeling the pinch of economic pressures and may not know how to turn things around. You need a strategy to overcome these challenges and advice on how to execute once your direction is set. Businesses in this position should be open to transforming the fundamentals to help the business operate more effectively in the current market.
Take control of your approach to uncertainty with insights from Grant Thornton:
Disclaimer
The information contained herein is prepared by Doane Grant Thornton LLP for information only and is not intended to be either a complete description of any issue or the opinion of our firm. You should consult your Doane Grant Thornton LLP advisor to obtain additional details and to discuss whether the information provided here applies to your specific situation.